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DA Davidson Upgrades Northwestern Corp. (NWE) to Buy as New Growth Prospects Emerge

April 28, 2011 10:49 AM EDT
NWE Hot Sheet
Rating Summary:
    3 Buy, 2 Hold, 1 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
DA Davidson upgraded Northwestern Corp. (NYSE: NWE) from Neutral to Buy.
DA analyst said, "We are upgrading to BUY as we are confident in the firm’s ability to fuel average EPS growth of ~7% per year over the next five years. We believe NWE can execute on its pipeline of small- and mid-sized capital projects, including environmental controls, distribution system upgrades, and new thermal & renewable generating facilities. The possible addition of larger transmission projects toward the end of our 5-year horizon would provide additional growth potential."

"We are maintaining our 2011 EPS forecast of $2.35, which factors in the first quarter’s positive weather impact, partially offset by higher expected OG&A expenses than we had previously forecast. Our 2012 EPS estimate is maintained at $2.45."

For more ratings news on Northwestern Corp. click here and for the rating history of Northwestern Corp. click here.

Shares of Northwestern Corp. closed at $31.74 yesterday, with a 52 week range of $25.15-$31.81.


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